Cell Phones and Credit

[EaglesFan2006]

What are the criteria that the major cell phone companies look for when joining?  I've had an ATT gophone for a while now and I am looking to finally upgrade.  I don't have the best rating though...current car loan and student loan.  2 new credit cards current.  And 3 aged collections.

[guiness56]

That is hard to say.  Each company will have their own guidelines to follow.  It could also vary by state.

[RobertEG]

One thing is certain.  If you apply for a cell phone, you have granted them, as a business transaction intitiated by you, the right to full access to your CR.

FCRA 604(a)(3)(F)/

They can then report this inquiry to your CR has a hard inquiry, whethter approved or not.  Instant score ding.

How they determine their acceptance of the proposed business transaction is totally up to them. 

If they do their authorized pull of your CR and score, and see a FICO score below whatever criteria they have set (and that is totally up to each to determine), that may result in summary rejection, or deeper delving into your credit report.  Up to them.  No published criteria exist.

If you have a high FICO score, that may be sufficient grounds for approval.  It you are in the middle, they will look at whatever floats their boat to make their determination.  The cnly real criteria is their discrection.

[blacklotus]

See the other thread on AT&T and Verizon.

If your Fico's are a little low you can still probably get the phone but it will cost you more as far as a down payment.  

[IOBA]

According to Verizon, if you start service with them, they will pull your credit.

If you upgrade your phone, even if it's a "Free" upgrade, they will pull your credit.

And, according to Verizon, if you change your phone plan, they will pull your credit.

Sprint pulls credit.

[blacklotus]

IMHO I think what they are looking at is if you have outstanding phone, cable or utility bills.  At least that would be what I would be concerned about- I mean if I had an outstanding bill for a cell I would definitely not app for a new one.

I hope they don't start pulling credit when I buy groceries!!!

[algorithmslave]

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@IOBA wrote:

According to Verizon, if you start service with them, they will pull your credit.

If you upgrade your phone, even if it's a "Free" upgrade, they will pull your credit.

And, according to Verizon, if you change your phone plan, they will pull your credit.

Sprint pulls credit.

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I would beg the question to Verizon, "What do you do with foriegn exchange students?" Meaning, without a social security number, how do they (foriegn exchange students) obtain a cell phone through you? I will gamble, if you are willing to pay full price for the cell phone and up the security deposit, they will look the other way with conducting a credit check. 

[Revelate]

2.5 year old thread.